The Securities and Exchange Board of India has updated its guidelines for managing unpaid client securities. The revisions introduce auto-pledges and other measures to support broker operations.
SEBI has revised rules for handling unpaid client securities. The updates include auto-pledges in clients' demat accounts along with stricter timelines and daily pledge reviews.
Investor safeguards form part of the changes. The measures seek to align with direct payouts while improving operational efficiency for stock brokers.
The board aims to strengthen investor protection across the sector through these adjustments.
